The stock price of Gaotu Techedu Inc ADR (NYSE: GOTU) has jumped by 8.24 compared to previous close of 6.55. Despite this, the company has seen a gain of 1.58% in its stock price over the last five trading days. PRNewsWire reported 2024-02-05 that BEIJING, Feb. 5, 2024 /PRNewswire/ — Gaotu Techedu Inc. (“Gaotu” or the “Company”) (NYSE: GOTU), a technology-driven education company and online large-class tutoring service provider in China, today announced that it will report its financial results for the fourth quarter and fiscal year 2023 ended December 31, 2023, before U.S. markets open on Tuesday, February 27, 2024. Gaotu’s management will hold an earnings conference call at 8:00 AM U.S. Eastern Time on Tuesday, February 27, 2024 (9:00 PM on the same day, Beijing/Hong Kong Time).
Is It Worth Investing in Gaotu Techedu Inc ADR (NYSE: GOTU) Right Now?
The stock has a 36-month beta value of 0.05. Opinions on the stock are mixed, with 0 analysts rating it as a “buy,” 0 as “overweight,” 0 as “hold,” and 0 as “sell.”
The public float for GOTU is 152.01M, and at present, short sellers hold a 7.26% of that float. On April 02, 2024, the average trading volume of GOTU was 6.28M shares.
GOTU’s Market Performance
GOTU stock saw a decrease of 1.58% in the past week, with a monthly decline of -9.34% and a quarterly a decrease of 98.60%. The volatility ratio for the week is 5.17%, and the volatility levels for the last 30 days are 6.39% for Gaotu Techedu Inc ADR (GOTU). The simple moving average for the last 20 days is -2.68% for GOTU’s stock, with a simple moving average of 92.09% for the last 200 days.
Analysts’ Opinion of GOTU
Citigroup, on the other hand, stated in their research note that they expect to see GOTU reach a price target of $4.50. The rating they have provided for GOTU stocks is “Buy” according to the report published on January 03rd, 2024.
GOTU Trading at 24.88% from the 50-Day Moving Average
After a stumble in the market that brought GOTU to its low price for the period of the last 52 weeks, the company was unable to rebound, for now settling with -15.80% of loss for the given period.
Volatility was left at 6.39%, however, over the last 30 days, the volatility rate increased by 5.17%, as shares sank -12.36% for the moving average over the last 20 days. Over the last 50 days, in opposition, the stock is trading +109.76% upper at present.
During the last 5 trading sessions, GOTU rose by +1.58%, which changed the moving average for the period of 200-days by +102.57% in comparison to the 20-day moving average, which settled at $7.24. In addition, Gaotu Techedu Inc ADR saw 95.86% in overturn over a single year, with a tendency to cut further gains.
Stock Fundamentals for GOTU
Current profitability levels for the company are sitting at:
- 0.01 for the present operating margin
- 0.74 for the gross margin
The net margin for Gaotu Techedu Inc ADR stands at 0.06. The total capital return value is set at 0.01. Equity return is now at value 0.03, with 0.02 for asset returns.
Based on Gaotu Techedu Inc ADR (GOTU), the company’s capital structure generated 0.04 points at debt to capital in total, while cash flow to debt ratio is standing at -10.39. The debt to equity ratio resting at 0.04. The interest coverage ratio of the stock is -0.9.
Currently, EBITDA for the company is -160.32 million with net debt to EBITDA at 50.48. When we switch over and look at the enterprise to sales, we see a ratio of 2.23. The receivables turnover for the company is 265.42for trailing twelve months and the total asset turnover is 0.58. The liquidity ratio also appears to be rather interesting for investors as it stands at 1.82.
Conclusion
To sum up, Gaotu Techedu Inc ADR (GOTU) has seen a better performance recently. Analysts have differing views on the stock, with some seeing it as a “buy” and others as a “hold”. It is worth mentioning that the stock is currently trading in close proximity to its 50-day moving average and its 52-week high.
